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Investment funds as referred to in the InvFG are issued as so called “Sondervermögen”. The unit holders’ capital paid in through the issue of investment units by the investment company and any assets purchased with it are managed by the investment company and held in custody by an independent depositary. The investment company acts in its own name and for the account of the unit holders. Unit holders are thus protected from losing their assets in the event that the investment company becomes insolvent.

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